Renters pay the price as search times lengthen

As the UK’s private rented sector (PRS) becomes increasingly competitive, tenants are facing financial burdens as they struggle to secure a property.

A new report by tlyfe, a tenant app launched by OpenBrix, highlights the rising costs associated with lengthy rental searches.

It says that the longer the search, the higher the cost of renting the property will be.

Tenants who take two and a half months to find a property can expect to pay an extra £235 in rent over a 12-month tenancy.

For those who take six months or longer, the additional cost could be as high as £576 or even £1,152.

Soaring tenant demand

The chief executive of OpenBrix, Adam Pigott, said: “The rental market is straining under the immense pressure caused by soaring tenant demand and an inadequate supply of rental homes and it’s this imbalance that has caused rents to soar so consistently in recent years.

“As a result, tenants face a number of obstacles when looking to secure a rental home and whilst the cost is certainly a sizable one, the initial struggle is their ability to find a property in the first place in what has become a very fast moving, competitive market.

“This means that not only is the average tenant having to apply for multiple properties before they are successful, but their search can drag on for months on end.”

He adds: “At the same time, the cost of renting continues to climb meaning that by the time they do secure a property, it’s even more expensive to rent, seeing them pay hundreds of pounds more over the course of their tenancy – sometimes even thousands of pounds more.”

Failed rented property applications

The main reason for failed rented property applications is that the property has already been let by the time the tenant applies.

Competition from other applicants and rising rent prices are also major obstacles.

According to an analysis of ONS data, the average monthly cost of renting in Britain has increased by £8 every month over the past year.

Tenants are spending an average of two and a half months searching for a rental property, and often need to apply for multiple properties before finding a suitable home.

Most tenants are having to apply for at least two properties before finding a home.